First Ever Bitcoin – Litecoin Atomic Swap Completed

In an unprecedented display of progress, the first ever atomic swap between Bitcoin and Litecoin was successfully completed. This swap is a landmark achievement in the realm of cryptocurrencies for a couple of reasons, the biggest of which being that it happened off-chain. Ownership of the coins were swapped, but there was no record of the transaction on either blockchain.

According to the founder of Litecoin, Charlie Lee, this is a breakthrough because he considers on-chain transactions limited. On-chain transactions are subject to slow processing times and high transaction fees. Off-chain transactions are instant and would have low fees. Since there would no recorded transaction, they would also better support user privacy.

For frequent cryptocurrency users, this event is significant. One of the biggest hindrances of the current blockchain norm is the slow processing times. This is due to limited block size. Litecoin users sometimes must deal with long wait times in sending and receiving money, which can be frustrating for both the vendor and the user. One instance of how this could affect a transaction is with Litecoin gambling sites. When users submit a deposit into their online gambling account, they want to be able to access their funds quickly. When requesting a payout, online gamblers want to be able to get their winnings as fast as possible. Cryptocurrencies allow you to access your money faster than other methods, but if the blockchain is clogged, you may have to wait.

Cryptocurrencies are becoming widely popular for online gambling, and you can find numerous Litecoin casinos and Litecoin poker rooms. Just like cryptocurrencies are still developing, so are Litecoin gambling sites. As technology innovates, there will be more features added for Litecoin users. This atomic swap is a marker of this platform and is a hint of what’s to come.

If off-chain transactions are built out more, there can be completely anonymous transactions—untraceable. This is something desirable for most online gamblers, and could be a major point going forward in attracting new users. People already prefer using cryptocurrencies due to their faster processing times and independence from regulated financial institutions. Other breakthrough technologies like Provably Fair technology, which allows players to test the fairness of online casino games after playing them, are helping to make digital currency casinos stand out.

It is too soon to tell when exactly users can begin conducting off-chain transactions on their own, but it will likely not be long. Atomic swaps will continue to be developed, so Litecoin users should check back for more updates to learn how things are progressing. Atomic swaps are the future of cryptocurrency trading.